Journal of Risk and Uncertainty

, Volume 34, Issue 1, pp 85–98

Wage compensation for job-related illness: Evidence from a matched employer and employee survey in the UK


DOI: 10.1007/s11166-006-9000-7

Cite this article as:
Wei, X. J Risk Uncertainty (2007) 34: 85. doi:10.1007/s11166-006-9000-7


Despite voluminous studies on compensating wage differentials for job-related fatal or non-fatal injuries, there remain few published studies confirming the existence of compensating wage differentials for job-related illness. This study utilizes a recently completed UK employer-employee survey to look at this specific issue. I find there is strong evidence of wage compensation for job-related illness risk for both male and female employees in the UK. The estimated wage compensation for one job-related illness episode per year ranges from 27% to 140% of annual earnings depending on gender and estimation approaches.


Compensating wage differentials Job-related illness 

Copyright information

© Springer Science+Business Media, LLC 2007

Authors and Affiliations

  1. 1.Department of EconomicsLingnan UniversityTuen MunHong Kong